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U.S. Back To The Front Lines In Iraq; Obama Heading To Saudi Arabia Tuesday; Chaos Prompts U.S. Embassy Staff Exodus In Yemen; New Film Tackles Race; Prisoner Exchange Demanded; Police Department Seize Assets, Keep The Cash

Aired January 24, 2015 - 12:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

(COMMERCIAL BREAK)

FREDRICKA WHITFIELD, CNN ANCHOR: All right, checking our top stories now. A federal judge has sentenced a Colorado teenager to four years in prison for attempting to become an ISIS bride and wage jihad in the Middle East.

The judge cited the need to send a harsh message to would-be jihad jihadists. Shannon Conley pleaded guilty to giving support to ISIS, but insists she has changed since then and is not a danger to society.

U.S. Supreme Court is set to hear a case that could start a new chapter in the capital punishment debate. It concerns last year's botched execution that left an inmate to die slowly, gasping for breath. Other inmates sued, saying Oklahoma's lethal injection protocol amounts to unusual punishment. The first component in the three-stage injection fails to maintain unconsciousness.

And the FAA is warning airlines to keep passengers from putting electronic cigarettes in check baggage due to a potential fire hazard. The agency points to a recent U.N. report citing incidents where e- cigs overheated when the heating element was accidentally activated. In one case, the resulting fire in a cargo hold forced the evacuation of a plane.

We have so much more straight ahead in the NEWSROOM, and it all starts right now.

Thanks again for joining me. We begin with this breaking news. One of two Japanese hostages held by ISIS may have been beheaded. A video posted by a known ISIS supporter shows a hostage, Kenji Goto, holding a photograph that appears to show a fellow hostage beheaded.

ISIS threatened to execute both men unless a $200 million ransom was paid. Now instead of money, ISIS is apparently demanding Jordan, the country of Jordan, release a female suicide bomber.

CNN's Will Ripley has the latest from Tokyo now and Jomana Karadsheh is also joining us as well. So Will, you first, what has been the Japanese government's reaction, if any, at this point?

WILL RIPLEY, CNN CORRESPONDENT: They have a very strong reaction, Fred, just within the past 30 minutes or so. The prime minister spoke to reporters after an emergency meeting that was held in the late hours here. It's already 2:00 a.m. in Tokyo and the prime minister still is meeting with his advisers.

He called it an outrageous act of violence. He said he was speechless, thinking about the family of Haruni Yukawa, and this is also a very difficult time for the family of Kenji Moto.

In this audio, which has not been verified, there are some analysts that are skeptical of it for a lot of reasons, which we've laid before. It's not the same production quality of an ISIS video that we're used to seeing. There is no ISIS logo. The voice sounds as if it has been modified in some way.

But in the video, the voice claiming to be Kenji Goto speaks specifically to his wife and mentions their two daughters, including a newborn, who was just two weeks old when he left on this trip to Syria where he was later captured by ISIS.

So the Japanese government as they worked to verify the authenticity, we also know that they are in communication with the Jordanian government.

In fact, the prime minister and king of Jordan spoke on the phone several hours ago, which seems to indicate that they have known about this video for quite some time, and now that it is out, publicly online, they are speaking about it, even as there is -- are some questions about its authenticity.

WHITFIELD: All right, Will, let me bring in Jomana here. So Jomana, we're talking about this new prisoner swap offer that ISIS is making instead of the $200 million in exchange for the life of the remaining Japanese hostage now demanding the release of this prisoner in Jordan. What more can you tell us about this prisoner, and whether that in any way might be, you know, appeased, that request appeased.

JOMANA KARADSHEH, CNN CORRESPONDENT: Well, we've tried reaching out to the Jordanian government. They say at this point they are not making any official comment about this demand. But she was a would-be suicide bomber who was part of a husband and wife team who carried out -- who attacked a hotel here in Jordan.

It was part of a coordinated suicide bombing attack, three hotels here in the capital in 2005 attacked by al Qaeda in Iraq. Four suicide bombers dispatched to these hotels. Sajada Rashawi (ph) at that time was captured saying that her explosives vest failed to detonate, and she was sentenced to death in 2006.

But Jordan for about eight years halted the death sentence here. So she has been on death row. There have been several appeals for that death row. But she has not been executed yet, although Jordan has renewed its -- started carrying out the death sentence again back in December.

Now this, Fred, really puts Jordan in a tough position here. It also has its own captive being held by ISIS, Jordanian pilot whose jet crashed in December, in ISIS territory near Araqa in Syria and he is being held there. Their official position has they would not negotiate or cave into terrorist demands throughout -- Fred.

WHITFIELD: All right, Jomana Karadsheh and Will Ripley, thanks to both of you and keep us posted as you hear any new information.

All right, so with the fight now, getting even more fierce in the battle to eliminate the ISIS terror group, the U.S. may have to send forces closer to the front lines in Iraq. So what about that promise from President Obama of no American boots on the ground in combat there? Here now is CNN's national security correspondent, Jim Sciutto.

(BEGIN VIDEOTAPE)

JIM SCIUTTO, CNN CHIEF NATIONAL SECURITY CORRESPONDENT (voice-over): This is the front line in the war against ISIS, Kurdish militia battling the terror group on the outskirts of the northern Iraqi city of Mosul. The Pentagon tells CNN, it is now prepared to recommend a small number of U.S. military advisers join this fight on the front lines, if necessary.

Accompanying Iraqi ground forces when they launch an assault to retake the city this spring. This, despite repeated promises by the president that he will not place U.S. troops in combat. White House Spokesman Josh Earnest said Mr. Obama stands by that pledge.

JOSH EARNEST, WHITE HOUSE PRESS SECRETARY: He does not believe that it would be in our best interest for a large-scale military deployment to be executed in Iraq. That committing more American ground troops in a combat role to Iraq is not in our best interest.

SCIUTTO (voice-over): The U.S. and Iraq have markedly different time tables for the assault on Mosul. Iraqi commanders insist they are ready now. U.S. commanders disagree, a difference that is clearly testing the patience of Iraqi Prime Minister Al-Abadi.

HAIDER AL-ABADI, IRAQI PRIME MINISTER: Everyone has got his own timetable, of course, is due to logistics and priorities. This is important that everyone matches the Iraqi timetable, rather than their own.

SCIUTTO: The fight against ISIS also has two different realities on the Iraq-Syria border. In Iraq, the terror group has seen its momentum stopped, the Pentagon says. But in Syria, it is still gaining.

BRUCE RIEDEL, BROOKINGS INSTITUTION: It hasn't had any effect on ISIS' growth in Syria. We have to think of this as a one-theater operation. Not two theaters, one joint theatre. That's how ISIS sees it and if they are being hurt in Iraq, they can move to Syria, and vice versa.

(END VIDEOTAPE)

SCIUTTO: U.S. commanders in Iraq say Iraqi forces simply are not ready for an assault on Mosul. On a trip to Iraq last month, General John Terry told us it will be months before Iraqi forces are prepared. He added it will take three years minimum to train Iraqi forces to secure Iraq more broadly. Jim Sciutto, CNN, Washington.

WHITFIELD: All right, joining me right now is former U.S. ambassador, Joe Wilson. He is a retired diplomat who was posted in several African countries and Iraq. He is now the CEO of his own international consulting firm and joining us from Santa Fe, New Mexico. Good to see you, Mr. Ambassador.

JOE WILSON, CEO, JC WILSON INTERNATIONAL VENTURES: Nice to see you.

WHITFIELD: So I asked you to join us because I really wanted to talk to you in large part about Yemen and all taking place there. Now there are all these other developments that have taken place this morning. And I know you are a wealth of knowledge.

So if I could ask you first, given your experience in Iraq, what your reaction is. What are your thoughts about more U.S. personnel being in Iraq, and while it may be an advisory role, because we are talking about ongoing conflict, they could be engaged in combat. What are your thoughts or concerns about that particularly as it pertains to Mosul?

WILSON: Well, I'd say it's hard for me to see what sort of role we can play that's going to be constructive. After all, we have trained the Iraqi army for a decade, and we see the results being the -- really the advance of ISIS to key areas right around Baghdad.

I think my sense of this is that this does not lend itself to a military solution right now. The Iraqis are going to have to fight for their own independence, and their own national territory.

We might be able to provide some technical assistance, but moving American troops into harm's way on the front seems to me to be counterproductive in many, many different ways.

WHITFIELD: And then if I could turn the corner and ask you about Saudi Arabia as well, the president now is making plans to attend the funeral of King Abdullah, and the importance of the ongoing diplomatic relations between the U.S. and Saudi Arabia. How important is it, in stabilizing the region that the U.S. continues with a good diplomatic relationship with the new king?

WILSON: Well, it's certainly important that we understand the complexity of our relationship with the Saudis and I understand that they are major actors in the region, and can be of great assistance to us or can thwart a lot of what we are attempting to do.

There are a lot of different areas where we can work together. The Islamic State being one of them and there are some areas where we disagree and where we should try and bridge those differences. Notably, Iran and Iran's nuclear negotiations that are ongoing right now.

It would be helpful it seems to me, to be a force for some sort of reconciliation between the Iranians and is Saudis. Whether that's possible is anybody's guess. But clearly, the Saudis are concerned with having a significant Shia population on the east side of the country where all the oil fields are and those Shias being perhaps influenced by the Iranian regime.

WHITFIELD: And now let's talk about Yemen. You have had experience, given your post, when in Iraq what it is to try to move U.S. personnel when imminent danger is arriving and making the decision about what U.S. personnel should stay and what should go.

And now we know in Yemen hundreds of American personnel have been evacuated. But still, many stay in place. I know there's been a 20- year span between when you had to play a part in that decision-making.

But what -- what kind of information could you share with us into how do you ascertain the safety of the remaining U.S. personnel, especially in the case of Yemen, when Yemeni security would be in charge of protecting U.S. personnel there, but now that you have this kind of power vacuum, what would be your greatest concern to worries about who stays in place?

WILSON: Well, 20 years ago, when I was in Baghdad, we actually reduced the size of the embassy down to seven essential personnel, at the very end of it. That was obviously a different era. We did not have military programs ongoing in Iraq at that time.

But we also didn't have any of the security fears that I'm sure they're confronting in Sana'a and wherever the military is these days out there in Yemen. So for example, 20 years ago, in 1990, I was able to walk through the central market of Baghdad without any security whatsoever, Christmas time, two-and-a-half weeks before the gulf war kicked off.

I was in Sana'a a few years ago, and had a security detail with me when I walked through the city, because the tension was so great, and the hostility towards foreigners was sufficient to merit some protection. Now, the situation there in Sana'a now, and across Yemen is obviously very insecure.

We have key interests in play there, military interests. My guess is you could probably get the American embassy itself down to a small number of personnel. The minimum needed to conduct diplomatic relations. Getting the military right size under these circumstances is probably more complicated. And it's hard for me to say what they're thinking in that regard.

WHITFIELD: All right, Mr. Ambassador, I have more questions including this Houthi minority. I know you expressed it would be interesting if they would end up being able to overthrow this government and now we see that the president has stepped down.

And when we come back, I want to ask you more about the fascination with the minority group being able to do this in that country. We'll have much more, straight ahead, in the NEWSROOM.

(COMMERCIAL BREAK) WHITFIELD: Welcome back. In Yemen, the president has stepped down under pressure from the Houthi minority there. This is a critical time, particularly with the U.S. engagement in Yemen in its counterterrorism efforts, as it will -- the U.S. pledge is to continue to use U.S. drones in its attack of ISIS operatives.

Let's continue our conversation with former U.S. ambassador, Joe Wilson, retired diplomat, who spent a lot of time in Africa, in Yemen, in Saudi Arabia, in that entire region.

All right, so Ambassador, let me ask you now, the U.S. says it will continue its counterterrorism measures, using drones, to take out any ISIS operatives there in Yemen. But at the same time, doesn't there have to continue with some sort of diplomacy there?

So now are U.S. diplomats that remain in that country, are they having to develop a relationship with the Houthis there, which have already pledged their allegiance to Iran, not the U.S.?

WILSON: Well, I think there's a lot going on right now that we don't see. The fact that we retain a presence in Sana'a suggests there are -- there is room for diplomacy. And in addition to whatever violence you're seeing on the streets, it does seem to me that there is an awful lot of politicking going on.

There are a lot of fault lines in Yemeni society. Not just sectarian or confessional. But also generational, also educational, also rural and urban, and they have played a delicate game of political balancing for thousands of years.

So it should not be a surprise to anybody that what you see on the surface may not accurately reflect what's going on behind the scenes. The fact that the president, the prime minister, resigned, nobody has stepped in to take their place yet.

So it seems to me there is likely a lot of negotiations within the internal Yemeni political system that are taking place right now, as well.

WHITFIELD: And then --

WILSON: We could play a positive role in that.

WHITFIELD: According to today's "Washington Post," apparently the U.S. is open to talking to Houthi leaders, but is that, I guess, conceivable, given that the Houthi leaders have made it very clear that they're not very pro-western, not very pro U.S., a delicate way of putting it.

WILSON: Well, yes, and -- but they haven't named a president yet so it's not clear from the reporting that I've seen that, in fact, they are going to succeed in taking over the government or rather if they're objectives are more limited into insuring they have greater participation in a future government.

That I don't think is clear in the reporting that I've seen so far. And, again, I would point out that I think this plays out in a bunch of different levels within the Yemeni political and tribal system, such that it may be.

WHITFIELD: All right, former U.S. ambassador, Joe Wilson, we appreciate your time. Thank you so much for being with us today from Santa Fe, New Mexico.

WILSON: Thanks, Fredricka.

All right, coming up, it's a movie about two families fighting for the same little girl and how they see things differently. Next, I go face-to-face with Kevin Kosner and Anthony Macke from the movie "Black or White." We'll talk about the film and some real parallels to today's world.

(COMMERCIAL BREAK)

WHITFIELD: Checking top stories now, fresh attacks in Eastern Ukraine today as shelling begins on battered fronts near Donetsk. One attack in a residential area killed at least 16 people. That's according to local officials who blame pro-Russian separatists. It follows a surge of fighting between rebels and Ukrainian government forces.

A Marine helicopter crashed during a training mission in Southern California. Two Marines were killed. The helicopter went down near a combat training center in Twenty-nine Palms, California. The names of the two Marines will be released after their families are notified.

And the FAA is warning airlines to keep passengers from putting electronic cigarettes in checked baggage due to a potential fire hazard. The agency points to a recent U.N. report citing incidents where e-cigs overheated when the heating element was accidentally activated. In one case, the resulting fire in a cargo hold forced the evacuation of a plane.

It's an issue that has been in the forefront recently and driving a lot of conversations around the dinner table and workplaces. Much of black and white America just see things differently.

The new film "Black or White" helps underscore that in this story of a grandfather played by Kevin Costner in the middle of a custody battle. His biracial granddaughter is caught in the middle.

(MOVIE CLIP)

WHITFIELD: Octavia Spencer among the great actors in this film. I talked face-to-face with actors Kevin Costner and Anthony Mackie.

(BEGIN VIDEOTAPE)

WHITFIELD: What is the conversation that you hope will happen?

KEVIN COSTNER, ACTOR AND PRODUCER, "BLACK OR WHITE": I don't know what I hope happens. You know, that idea is bigger than me. As an actor or something, I go, this is authentic. This feels like where we're at. This is not pulling punches, it's not politically correct. I think conversation will roll after it. You know. You know, I'm not in the message business. That's not why I made the movie. I just felt that it reflects -- I make movies about baseball, westerns, romantic comedies, but sometimes you get to make a movie about something that you feel like you're living.

And right now "Black or White" feels like a movie that is for its time. But I think the way it was made, I think it will live -- it has a chance to be a classic.

WHITFIELD: And Anthony, what is it about this movie that really caught your attention? I know scripts are coming your way all of the time. But there was something about this one that resonated with you.

ANTHONY MACKIE, ACTOR, "BLACK OR WHITE": It was two specific moments. There's one moment in my law office where I'm talking to Octavia Spencer's son, who is my nephew. And I tell him -- I give him the business. I let him know what he's doing to affect me and my life.

And what he's doing to affect us as a whole. And then Kevin has this line later on in the film that really just blew my mind. And he says, "it's not your first thought that makes you a racist. It's just second, your third and your fourth."

And when I read that, it really affected me, and it was really something that I wanted to be a part.

WHITFIELD: There were a lot of touching moments in the movie, as well, and this little girl, Jillian Estelle, is amazing, and just that moment between she and grandpa. Let's play that moment, because I think that was kind of the realization that you had, that Eloise and you have a particular connection.

(MOVIE CLIP)

WHITFIELD: That's an instinctive moment and then you say that the acting there, everything that was brought was instinctive.

COSTNER: Yes, that was an electric moment, that little girl. A lot of times, you know, movie -- what a child is going to do. And we both needed for her to be great and for this movie to become a whole movie. And she doesn't disappoint.

And you know, sometimes little people know what big people need at a moment without -- they just intuitively know, and that point where she reaches up and hugs and even if you see the thing in its entirety, you see she kisses him.

It wasn't scripted. She did that and this movie, what I love about it. It's filled with things like that. There is magic in this movie.

WHITFIELD: Which is what makes it really universal even though the title implies that really is about race, black or white, making a choice, it's much bigger than that, isn't it?

MACKIE: Yes, it's way beyond that. And I think the one thing that I really enjoy about this movie every time I see it is you get to hear both perspectives. And you get to see two people, listen to the other person, come together and figure out a fair compromise.

And I think that's something we should be doing today. You know, it's really sad what's going on in our country. I think we're at the height of race relations since -- we're at the highest point in race relations now since civil rights.

And I think a lot of communication needs to be had. Back then we were very fortunate, because we had the likes of Martin Luther King and all of the civil rights leaders. Now we don't really have those people to step up and have those conversations for us and vocalize our thoughts.

But, you know, this movie is really wonderful because it gives you a place to start a conversation. You know, I truly believe if you have someone that is the opposite of you, that doesn't look like you, you tell them to go see this movie so that you can start that conversation there, and then roll into other issues and topics.

(END VIDEOTAPE)

WHITFIELD: All right, more powerful words of face-to-face with Kevin Costner and Anthony Mackie at 2:00 today. They have provocative views about diversity in movies today, and they weigh in, as well, on the NFL's New England Patriots' deflate-gate, reluctantly. The movie "Black or White" comes out in theaters next Friday.

All right, the U.S. government is responding to developments in the possible killing of a Japanese hostage. CNN's Erin McPike is at the White House for us.

ERIN MCPIKE, CNN CORRESPONDENT: Fred, the National Security Council is still trying to confirm the authenticity of this new ISIS video. More on that after the break.

(COMMERCIAL BREAK)

WHITFIELD: Hello again, everyone. Thanks so much for joining me. I'm Fredricka Whitfield.

Breaking news that we're following this morning, it appears that one of two Japanese hostages was beheaded. In a new video posted by a known is supporter, hostage, Kenji Goto, is holding a photograph that appears to show fellow hostage, Haruna Yukawa beheaded.

These are images of Yukawa seen on the right here and his fellow hostage, released by ISIS more than a week ago. Japan's defense minister says the government is checking to see whether the man really is Haruna Yukawa, meaning in the newest video that we're not showing to you.

ISIS threatened to execute both men unless a $200 million ransom was paid. Now instead of money, ISIS is apparently demanding a female suicide bomber, who is being held in Jordan, be released. She was convicted of bombing a hotel in Jordan in 2005, killing 57 people.

Our Kimberly Dozier said ISIS learned from the "Charlie Hebdo" massacre in Paris, and is aiming its efforts now at the media.

KIMBERLY DOZIER, CNN GLOBAL AFFAIRS ANALYST: All along, what you have seen behind the scenes is this planning by ISIS to find a way to stay in the media's eye. I mean, they've had the Japanese hostages for a while, but they strategically released that video and those demands.

You notice right after al Qaeda in the Arabian Peninsula, was getting all the attention for the "Charlie Hebdo" massacre. So now we see them changing midstream in terms of their demands. But one thing that could indicate perhaps they have been weakened is the change in the media content, the way they have delivered this message.

WHITFIELD: The Japanese government has released a statement condemning Yukawa's murder.

Here in the United States, the National Security Council is responding to this breaking news. CNN's Erin McPike is at the White House this morning. Erin, what's being said?

MCPIKE: Fred, we just got in this statement from the National Security Council, deputy spokesperson, Patrick Ventrell read that statement to you now. He says, "We have seen the video purporting to show that Japanese citizen, Haruna Yukawa, has been murdered by the terrorist group ISIL. The intelligence community is working to confirm its authenticity.

The United States strongly condemns ISIL's actions and we call for the immediate release of all the remaining hostages. The United States is fully supportive of Japan in this matter and we stand in solidarity with Japan and are coordinating closely."

Now of course we have seen some other news about ISIS in the past week. We heard from the Defense Department several days ago that they're now saying that coalition air strikes and other efforts have killed some 6,000 ISIS leaders and ISIS targets.

We're still looking to confirm some of those numbers, but there has been a big development. Of course, that has not stopped these gruesome executions -- Fred.

WHITFIELD: And even with this news, Erin, the White House is also confirming the president will be planning to go to Saudi Arabia for the funeral of King Abdullah. What more can you tell us about that?

MCPIKE: Well, Fred, we did get a statement from White House Press Secretary Josh Earnest, overnight. I'm going to read part of that to you, a lot of verbal gymnastics in how they announced this because it was such a late-breaking development.

Josh Earnest says, "As the president and vice president's travel schedules became clear, we determined that the window when the vice president would be on the ground in Riyadh coincided with the president's departure from India.

Accordingly we adjusted the schedule in coordination with the Indian government so that the president will be able to depart India following his speech on Tuesday to stop during the return trip to meet with King Salman and other Saudi officials and offer his condolences on behalf of the American people."

Now we have seen in the last few hours some reports in Indian media that Indian security couldn't necessarily support the needs of the American president and Secret Service. That's not something we would get confirmed by the White House. They typically do not like to divulge their security needs.

But we should also note that two weeks ago, President Obama and Vice President Biden didn't go to Paris for that massive rally, and the White House came under a lot of scrutiny for that. That could have weighed into this last-minute decision.

Also, as we have been talking about all morning, Saudi Arabia is a major ally of the United States in the Middle East. They, of course, have been instrumental in the fight against ISIS in joining airstrikes, and also hosting coalition efforts to train Syrian opposition fighters in the ground war against ISIS. So this, of course, is an important meeting for President Obama -- Fred.

WHITFIELD: All right, Erin McPike at the White House. Thanks so much.

MCPIKE: Of course.

WHITFIELD: And we'll be right back.

(COMMERCIAL BREAK)

WHITFIELD: This next story would be very hard to believe, if it weren't caught on camera. In cities across the United States, if you were carrying cash in your vehicle, and you get pulled over, authorities can confiscate the money, even if you're not charged with a crime. Here now is Gary Tuchman with an explanation and a CNN investigation.

(BEGIN VIDEOTAPE)

GARY TUCHMAN, CNN NATIONAL CORRESPONDENT (voice-over): It's a bright, clear morning in April 2013. Inside that red car, just ahead, are these two men, Bart Davis and John Newmerzhycky, two friends who also happened to be professional poker players.

On this dash cam footage in the distance, you can see the red car flashing a turn signal to pass a black SUV. A few minutes later, an Iowa state trooper pulls them over.

(on camera): And what did he say?

JOHN NEWMERZHYCKY, PROFESSIONAL POKER PLAYER: He said I didn't use my blinker and he was going to write me a citation, it would only take a minute and to come with him and get in his car.

TUCHMAN (voice-over): It was the beginning of an encounter with what eventually would be two Iowa state troopers. Professional poker players often travel with quite a bit of money, which they use in tournaments across the country.

The troopers pulled this battered briefcase out of the trunk and found $85,000 in cash belonging to Bart Davis. And another $15,000 belonging to Newmerzhycky and the officers took it, took it all.

WILLIAM "BART" DAVIS, PROFESSIONAL POKER PLAYER: This was the briefcase I was carrying. It was locked. They threatened to destroy it if I didn't give them the combination.

TUCHMAN (on camera): So you carried money in this all of the time for poker, right?

DAVIS: I do. I brought it along because I happen to have --

TUCHMAN: this is how normal it is.

DAVID: It's money. I got that from the bank.

TUCHMAN: So how much is this?

DAVIS: That's $10,000. If I were traveling interstate, I would seal it.

TUCHMAN (voice-over): The two men wind up being questioned for hours. They were given a traffic warning, but not a citation. Newmerzhycky pled guilty to a misdemeanor charge of possession of marijuana paraphernalia, which he said was used for medical marijuana.

The troopers let the men go, but took the $100,000. Seized the authorities said, as part of what the troopers called an interdiction, because they claim to believe the money was being used to buy drugs. It's called civil asset forfeiture and that wasn't all.

GLEN DOWNEY, PLAYERS' ATTORNEY: Based on their belief that they thought my clients were involved in drug activity, called California, where they live, informed the officers there, or law enforcement officials there that they believe they were involved in drug activity.

A search warrant wag obtained on the basis of that information from the Iowa officer and they raided their homes in California. OK and tore their homes apart looking for things related to drugs.

TUCHMAN: Even though there was only one misdemeanor drug charge in Iowa, California authority's claim they were distributing drugs there. The men's lawyer, Glen Downey, says Newmerzhycky was indicted and both men were offered a deal by the state of Iowa.

We'll give you back $90,000, as long as you let us keep the rest. The men took the deal, afraid they would lose all their money if they didn't. The state of Iowa kept $10,000 and the felony charge in California was dropped.

As shady as the whole affair sounds, it wasn't a one-off. It is part of a concerted effort by some law enforcement to legally target and keep your money without ever filing charges. In fact, the two Iowa state troopers, as well as thousands of other state and local cops nationwide learned how to conduct these kinds of stops from private companies. And the biggest one is an Oklahoma company called Desert Snow.

(on camera): The Desert Snow trainers travel all over the country to hold their workshops and business is brisk. According to the company's web site, 30 seminars are scheduled for 2015 from Oregon to Florida, from Delaware to California, and your police department could be one of Desert Snow's clients.

(voice-over): This is the man in charge of Desert Snow. A former California State Highway Patrol officer named Joe David. He wouldn't talk with CNN on camera.

But a glance at what his company charges police agencies shows his training isn't cheap. The lowest price for a police force to attend, according to this price list, is a bit over $8,000 and the top end, $145,000.

(on camera): Why would a police department spend hundreds of thousands of dollars to go to a seminar, which is something you learn in the police academy?

DOWNEY: Well, they say they teach them more than they'll learn in the police academy that they have specialized knowledge to teach these officers how to do it even better. I believe the training encourages them to take more cash because the more cash they take, the more cash Joe David is going to get in training materials.

TUCHMAN (voice-over): Joe David told us he couldn't answer written questions about how much money he's made because of a lawsuit filed by Downey on behalf of those poker players. He claims it's only a small part of his business, which also helps officers go after people ranging from terrorists to kidnappers.

As for cash seizures, he said, quote, "The purpose is not to take and seize funds belonging to innocent people. The purpose is to seize funds when they are tied to criminal activity."

But there have never been any charges that the money taken from Bart Davis or John Newmerzhycky has been tied to criminal activity.

(on camera): What has this done to your life?

DAVIS: It's made me aware of things I was unaware of and made me angry. It's not only this type of conduct we're having problems with police these days. And how can you not be angry and saddened?

TUCHMAN (voice-over): The men still want the rest of their money back. That $10,000 kept by the state of Iowa. So far, though, Iowa is not giving it back and is not backing down. Gary Tuchman, CNN.

(END VIDEOTAPE)

WHITFIELD: And now the U.S. Justice Department quietly announced the federal government will no longer take part in these kinds of seizures. But that doesn't mean that state and local governments will end this practice.

So let's bring in our legal guys, Avery Friedman, a civil rights attorney and law professor, joining us from Cleveland, and Richard Herman, a New York defense attorney and law professor joining us from Las Vegas. Good to see you guys. Avery, you first, why is this legal?

AVERY FRIEDMAN, CIVIL RIGHTS ATTORNEY: Well, there was a policy established under the Reagan administration, Fredricka, that created a cooperation between the federal government and the state government law enforcement.

When you hear about joint task force, for example, it involves terrorism, it involves child pornography and conceptually, it's great. But it has been abused, it has occurred since the 1980s over 55,000 times. There's legislation pending in both the House and Senate to change the standards.

In this kind of thing, legal analysis requires not a butcher knife, but a surgical knife, so that you change the standards. Let it work, cooperation between the federal, state, local government, continue joint task force, keep the program operating, and get rid of the abuses.

WHITFIELD: Well, I think if it's a program like this, civil asset forfeiture or interdiction, you know, Richard, I think most people would probably understand if there is probable cause if someone has carried out some major violation, and then, by the way, when being questioned or when their vehicle is being searched, something like this, you know, comes about.

But it sounds as though, from the looks of Gary's story, that there's almost like a profile. These police officers knew who to pursue, and knew there was going to be this bounty and were looking for a reason in which to seize it. I mean, did I get that wrong or is that what we're seeing?

FRIEDMAN: Yes, that's right.

RICHARD HERMAN, CIVIL DEFENSE ATTORNEY: No, Fred, you hit it right on the head. The Beatles and Temptations sang songs about money, money, money. Let me tell you something, this is all about money. A billion dollars they got last year I think --

FRIEDMAN: More.

HERMAN: It's outrageous, Fredricka. Here it is. If they get a warrant to go into a house because they suspect drug activity and they walk in and there are vials and drugs all over the place and a stack of cash on the table, they take that cash. They forfeit that cash. It's obviously proceeds from criminal activity and that's what the statute was meant for.

WHITFIELD: Because then it kind of becomes evidence. But in this case, you hear these young men who say, OK, well there was the marijuana possession charge. You hear them say --

HERMAN: No.

WHITFIELD: There was a bargaining, like they got all their money back except for $10,000 and so the police department got to keep that? I don't understand that.

HERMAN: I don't know how they did this, Fred. Fred, they got pulled over on a signal, a traffic signal. They went into his trunk, opened up a locked bag from the trunk. This is unbelievable! I don't know how this happened here. The only way I think to stop this is to allow, like, triple damages.

If you believe they were wrongfully -- your money was wrongfully seized, you should be able to sue and if you recover, triple damages, because the abuse is outrageous. No determination of guilt. No determination you're involved in criminal activity and your money is seized. And you have to petition to get it back -- and if you don't do so in a certain period of time, you waive it.

WHITFIELD: and it seems like a lot of people see it that way. Avery, what are you disagreeing with? Why is it that this is justified?

HERMAN: Yes, what are you disagreeing with? I handle these cases.

FRIEDMAN: It's not justified. It needs reformation. You can bring suit under the 14th amendment to recover. The reason is that you need a law by Congress because it is not a statute. It is a policy by Department of Justice that requires congressional action to stop it. You want to have triple damages, as he suggested, OK, pass a law by Congress.

You've got John Connier in the House, a Democrat. You've got Jim Sensbrenner, who is a Republican. You need to pass legislation. In the absence of that, you can do something. But a constitutional case is what you have to bring in order to recover this.

WHITFIELD: Interesting. So unless there is a law, it seems as though -- and if this is the right terminology, it almost looks like this is outright theft.

FRIEDMAN: Well, I agree with that. You're right.

WHITFIELD: Unless there is a law that says, no, police -- or law enforcement officers, you're not allowed to do this.

FRIEDMAN: Higher standards, Fredricka. That's what this statute will require.

HERMAN: Fred, if your money is seized, there is a short window for you to petition to get it back. If you don't do it, you waive it. And if you do bring that petition, you risk opening Pandora's box, the contrary statement you may have made to law enforcement.

WHITFIELD: Just like those two gentlemen. They said they were kind of afraid of what would happen next, so they said already, fine, $10,000, we'll let it go. I know we could go on forever. Something tells me where you are, Richard, in Nevada, maybe this would be, you know, practiced more than others. I don't have the stats on that. But if we're talking about -- gamble --

HERMAN: People gamble a little more in Nevada.

FRIEDMAN: There are cases, the Moro case and other ones --

HERMAN: Recently, a case in Reno.

WHITFIELD: All right, Gentlemen, thank you so much. Always fiery. That's why we like having you. Richard, thank you so much. Avery, thank you so much. We'll be right back after this.

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WHITFIELD: Welcome back. Checking our top stories, a federal judge has sentenced a Colorado teenager to four years in prison for attempting to become an ISIS bride and wage jihad in the Middle East. The judge cited the need to send a harsh message to would-be jihadist. Shannon Conley pleaded guilty to attempting to give support to ISIS, but insists she has changed since then and isn't a danger to society.

And bad weather has temporarily halted an attempt to recover the fuselage of Airasia Flight 8501. Divers tried lifting the wreckage using balloons, but a belt broke. Meanwhile, Indonesian says four more bodies have been recovered, bringing the total to 69. 162 people died when the plane crashed on December 28th.

And a good day for the Williams sisters in the third round play at the Australian open, number-one seed Serena dropped the opening set to Ukraine, but came back to take the next two, 6-4 and 6-0. And Venus was only two points away from a loss to Italy. She also bounced back taking the final two sets, and moving to the fourth round in the Australian Open for the first time since 2011.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE (voice-over): The big four of Roger Federer, Rafael Nadal, Novak Djokovic and Andy Murray have dominated men's tennis for the last decade, winning 38 of the previous 42 grand slams. Switzerland defeated Djokovic and Nadal last year, but he's not ready to put himself among the elite yet.

(on camera): Many people talk about the big four. Do you regard yourself as one of the big four?

UNIDENTIFIED MALE: No.

UNIDENTIFIED MALE: Why not?

UNIDENTIFIED MALE: Why not? Because I'm not there, I won the grand slam, but that's it. I mean, it's been one amazing year for me. I was a real player, top 20 for five years. Top ten one year. And now top five for one year. But if you look at the top four, especially the three first guys, Novak, Rafael and Roger, they have been winning every single tournament, every grand slam, since ten years, more or less, so it's a different level.

(END VIDEOTAPE)

WHITFIELD: And we have so much more here in the NEWSROOM and it all starts right after this.

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